This is such a stressful situation, but you're definitely not alone in dealing with this! I went through something similar a few years ago when my tax preparer accidentally used outdated bank info from my previous return. One thing that really helped me was getting a copy of my tax transcript from the IRS website (irs.gov) - it shows exactly where your refund was sent and the status. You can access it immediately online with your SSN and some basic verification info. This gave me concrete details to reference when I called both the IRS and my tax prep company. Also, while you're waiting for everything to get sorted out, consider asking your tax preparer if they offer any kind of emergency assistance or advance on the refund amount since it was their error. Some of the larger chains have policies for situations like this, especially when it's clearly their mistake. At minimum, they should be covering any fees you incur because of their error. The good news is that your sister and cousin are right - the money will eventually come back to you, it's just a matter of time. Banks are required to reject deposits when the account name doesn't match, so it will bounce back to the IRS who will then issue a paper check. Hang in there!

I'm so sorry you're going through this stress! As someone who works in banking, I can confirm that when a refund is deposited to an account where the name doesn't match, the receiving bank is required to return those funds to the originating source (the IRS) within a specific timeframe - usually 1-3 business days after they catch the mismatch. The key thing is to document everything right now. Get a written statement from your tax preparer acknowledging their error, and file Form 3911 (Taxpayer Statement Regarding Refund) with the IRS to initiate a payment trace. This form officially starts the process of tracking where your refund went and getting it back to you. While waiting, also check if your state has a taxpayer advocate office - they can sometimes help expedite these cases when there's clear preparer error involved. The $3,800 amount definitely qualifies as a significant financial hardship situation that they take seriously. Most importantly, don't panic! I've seen dozens of these cases over the years and the money always gets returned eventually. The banking system has safeguards specifically to prevent people from keeping money that isn't theirs.

Thanks everyone for the incredibly helpful advice! I'm going to look into both taxr.ai and potentially using Claimyr to confirm my specific situation with the IRS. I hadn't considered the expiring tax provisions after 2025 either, so that's another factor to weigh. I think I'll scale back my planned conversion amount this year to avoid the worst of these tax interactions, but still do a small conversion to chip away at future RMDs. The suggestions about timing conversions with charitable giving or higher deduction years make a lot of sense too. This has been eye-opening - clearly the standard advice to "fill up your bracket" is way too simplistic for many situations like mine. I'll definitely be running more detailed projections before making any moves.

Great analysis! You've perfectly illustrated why cookie-cutter tax advice can be so dangerous. I'm a tax preparer and I see this all the time - clients come in having followed generic "fill your bracket" advice without understanding these cascading effects. One additional consideration for your situation: if you're still working and have access to a 401(k), you might want to maximize pre-tax contributions there first before doing any Roth conversions. This could lower your AGI enough to keep more of your qualified dividends in the 0% bracket, making future conversions more tax-efficient. Also, don't forget about the Medicare premium implications (IRMAA) if your modified AGI gets too high. Those can add another layer of "stealth taxes" that make conversions even more expensive than they appear on paper. The tax code has so many interconnections that proper planning really requires modeling your entire tax picture, not just looking at marginal brackets in isolation.

This thread has been incredibly helpful! I'm currently in my 4th year as an F1 student (arrived in January 2021) so I'll be hitting this transition soon. One thing I'm curious about that hasn't been fully addressed - what about state taxes? I know the federal rules change after 5 years, but do state tax residency rules follow the same pattern? I'm in California and I've been filing as a nonresident for state taxes too. Will I automatically become a California resident for tax purposes when I become a federal resident alien, or do states have their own separate rules? This could make a huge difference since California taxes are pretty high compared to what I've been paying as a nonresident. Also wondering if anyone has experience with estimated tax payments during this transition year? As a nonresident I never had to worry about quarterlies, but I assume that changes once you're filing as a resident alien with worldwide income.

This is such a comprehensive thread! As someone who went through this transition two years ago, I wanted to add a few practical tips that might help: 1. **Keep detailed records** - Start documenting your presence in the US now if you haven't already. I created a simple spreadsheet tracking entry/exit dates, which was super helpful when calculating my substantial presence test days. 2. **Plan for the tax impact** - The switch to worldwide income reporting can be a shock! My tax liability nearly doubled in my transition year because I suddenly had to report rental income from my home country that I'd never had to declare before. 3. **Consider professional help for the transition year** - I tried to handle it myself initially but ended up hiring a CPA who specializes in international tax. The cost was worth it to make sure I got everything right, especially with foreign tax credits and treaty benefits. 4. **Start thinking about retirement contributions** - One silver lining of resident alien status is you can finally contribute to IRAs and 401(k)s if your employer offers them. I wish I'd started earlier! The whole process seems overwhelming at first, but once you get through that first year as a resident alien, it actually becomes much simpler than the complicated nonresident forms we used to deal with. Hang in there!

I'm confused about something related to this... I did a backdoor Roth for the first time in 2024 and my 1099-R from Schwab shows code "J" in box 7. Is that correct or do I have a different problem than OP? I can't find clear info on what code J means for Roth conversions.

I went through this exact same situation last year with my backdoor Roth conversion at Fidelity. Got the dreaded code "1" instead of "2" and panicked for weeks thinking I'd messed something up. After doing tons of research and talking to a tax professional, I learned that this is incredibly common and not something to lose sleep over. The key thing to remember is that Form 8606 is what actually matters for tax purposes. The IRS processing systems are designed to handle these discrepancies between 1099-R codes and the actual nature of the transaction as reported on Form 8606. I ended up filing with the incorrect distribution code and had zero issues. That said, if you have time before the filing deadline and want complete peace of mind, calling Fidelity might be worth it. But honestly, based on my experience and everything I've read, you should be totally fine filing as-is with a properly completed Form 8606. The $7,500 amount you mentioned is also pretty standard for backdoor Roth conversions, so nothing about your situation would stand out as unusual to the IRS.

Remember that even if there's no structures, you're still liable for what happens on your property! My friend had an empty lot and some teens were drinking there, one fell and got hurt, and they sued him! Make sure you have liability insurance on that vacant land. Most regular homeowners policies won't cover empty lots that aren't adjacent to your primary residence.

@Aisha Mahmood - Definitely contact the Wisconsin county assessor's office ASAP! Since you inherited the land, the property taxes are likely still being assessed but might be going to your grandparents' old address or getting held up in the ownership transfer process. Wisconsin has some great programs for forest land - you might qualify for the Managed Forest Land (MFL) program which can reduce your property taxes by up to 80% if you commit to keeping it as forest for at least 25 years. Given that it's 3 acres of forest, this could save you hundreds of dollars annually. You'll need to get the deed properly transferred into your name first, then inquire about MFL enrollment. The Wisconsin DNR website has all the details about eligibility requirements. Don't wait too long though - property taxes accrue even if you're not receiving bills, and you don't want to end up with a big surprise bill later!